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      Question

      The question consists of four statements numbered β€œI,

      II, III and IV” given below it. You have to decide that the data provided in which of the statement(s) alone is/are sufficient to answer the question. β€˜A’ and β€˜B’ started a business where β€˜B’ invested Rs. 1,800 more than β€˜A’. β€˜B’ invested for a time period that is 5 months less than the time period for which β€˜A’ invested. Find the profit share of β€˜B’. Statement I: β€˜A’ invested for total of 10 months and the total annual profit earned from the business was Rs. 8,800. Statement II: If β€˜B’ had invested Rs. 600 less, then the profit share of β€˜A’ would have been 25% more than that of β€˜B’ while the total annual profit earned from the business was Rs. 8,800. Statement III: The ratio of investment of β€˜A’ and β€˜B’ is 3:5, respectively. If β€˜B’ had invested for 3 more months, then ratio of profit shares of β€˜A’ to that of β€˜B’ would be 3:4. Actual annual profit earned from the business was Rs. 8,800. Statement IV: β€˜A’ had invested Rs. 2,700 for 10 months. Profit share of β€˜A’ was Rs. 800 more than that of β€˜B’.
      A Only I and IV Correct Answer Incorrect Answer
      B Only II and III Correct Answer Incorrect Answer
      C Only III and IV Correct Answer Incorrect Answer
      D Only IV Correct Answer Incorrect Answer
      E Only I and III Correct Answer Incorrect Answer

      Solution

      Let the investment of β€˜A’ = Rs. β€˜X’ Then, investment of β€˜B’ = Rs. (X + 1800) Let the time period of investment of β€˜A’ = β€˜y’ months Then, time period of investment of β€˜B’ = (y – 5) months Statement I: We have, y = 10 So, ratio of profit shares of β€˜A’ and β€˜B’ = (X Γ— 10):{(X + 1800) Γ— (10 – 5)} = 10X:(5X + 9000) But we cannot proceed any further with this and we cannot determine the profit share of β€˜B’. So, data in statement I alone is not sufficient to answer the question. Statement II: Reduced investment of β€˜B’ = X + 1800 – 600 = Rs. (X + 1200) Ratio of profit shares of β€˜A’ and β€˜B’ respectively = (X Γ— y):{(X + 1200) Γ— (y – 5)} Or, Xy:{Xy + 1200y – 5X – 6000} According to the statement, Xy = 1.25 Γ— (Xy + 1200y – 5X – 6000) Or, Xy = 1.25Xy + 1500y – 6.25X – 7500 Or, 0.25Xy + 1500y – 6.25X – 7500 = 0 Since this equation cannot be solved any further, we cannot determine the profit share of β€˜B’. So, data in statement II alone is not sufficient to answer the question. Statement III: Let the investments of β€˜A’ and β€˜B’ be Rs. β€˜3x’ and Rs. β€˜5x’, respectively. Then, according to the statement, (3x Γ— y):{5x Γ— (y – 5 + 3)} = 3:4 Or, 3xy:{5x Γ— (y – 2)} = 3:4 Or, 3xy:(5xy – 10x) = 3:4 Or, (3xy/3) = (5xy – 10x) Γ· 4 Or, 4xy = 5xy – 10x So, y = 10 So, ratio of actual profit shares of β€˜A’ and β€˜B’ = (3x Γ— 10):{5x Γ— (10 – 5)} = 30x:25x = 6:5 So, profit share of β€˜B’ = 8800 Γ— (5/11) = Rs. 4,000 So, data in statement III alone is sufficient to answer the question. Statement IV: Since β€˜A’ has invested for 10 months, so time period of investment of β€˜B’ = 10 – 5 = 5 months Investment of β€˜B’ = 2700 + 1800 = Rs. 4,500 So, ratio of profit shares of β€˜A’ and β€˜B’ respectively = (2700 Γ— 10):(4500 Γ— 5) = 27000:22500 = 6:5 So, let the profit shares of β€˜A’ and β€˜B’ be Rs. 6k and Rs. 5k, respectively. We have, 6k – 5k = 800 Or, k = 800 So, profit share of β€˜B’ = 5k = 800 Γ— 5 = Rs. 4,000 So, data in statement IV alone is sufficient to answer the question. Hence, option C.

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